Saudi Aramco says reorganizing downstream business to support growth

A view shows branded oil tanks at Saudi Aramco oil facility in Abqaiq, Saudi Arabia. (File/Reuters)
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Updated 14 July 2020

Saudi Aramco says reorganizing downstream business to support growth

  • The downstream model will be divided into four units

DUBAI: Saudi Aramco said on Tuesday that it will be reorganizing its downstream business to support its global growth strategy, aiming to complete it by the end of this year.
The downstream model will be divided into four units: fuels including refining, trading, retail and lubes; chemicals; power; and pipelines, distribution and terminals, Aramco said in a statement.
“This reorganization is designed to enhance the effectiveness and efficiency of Aramco’s existing downstream assets, but does not represent a fundamental change in the overall business structure,” Aramco said. Aramco, the world’s biggest oil producing company, is expanding its downstream, or refining and marketing, business globally. It pumps around 8.5 million barrels per day (bpd) of crude, of which it exports about 6 million bpd.
The company plans to raise its refining capacity — inside Saudi Arabia and abroad — to 8-10 million bpd, from around 5 million bpd now. Aramco is expanding its refining business at home as well as in new markets, particularly in Asia.
In June, Aramco completed its purchase of a 70% stake in SABIC, the world’s fourth-largest petrochemicals company, from for $69.1 billion.


Chinese artificial intelligence company files $1.4 billion lawsuit against Apple

Updated 03 August 2020

Chinese artificial intelligence company files $1.4 billion lawsuit against Apple

  • Xiao-i argued that Apple’s voice-recognition technology Siri infringes on a patent that it applied for in 2004

SHANGHAI: Chinese artificial intelligence company Shanghai Zhizhen Intelligent Network Technology Co., also known as Xiao-i, has filed a lawsuit against Apple, alleging it has infringed on its patents.
The company is calling for $1.43 billion in damages and demands that Apple cease “manufacturing, using, promising to sell, selling, and importing” products that infringe on the patent, it said in a social media post.
Xiao-i argued that Apple’s voice-recognition technology Siri infringes on a patent that it applied for in 2004 and was granted in 2009.
Apple did not respond to a request for comment. Reuters was not immediately available to find a copy of the court filing.
The lawsuit marks the continuation of a row that has been ongoing for nearly a decade.
Shanghai Zhizhen first sued Apple for patent infringement in 2012 regarding its voice recognition technology. In July, China’s Supreme People’s court ruled that the patent was valid.